New oil discovery for Noreco


Stavanger, 11 June 2009: Norwegian Energy Company ASA (Noreco - OSE:NOR),  Noreco announces an oil discovery with the Gygrid exploration well in license PL348 in the Norwegian Sea. This is the third discovery within this license. The license is operated by StatoilHydro and Noreco has a 17.5% ownership.

"We are very pleased with the results from the Gygrid well. Light oil was discovered in a good quality reservoir. This latest discovery increases the probability of further finds in this very prospective license" says Noreco VP Exploration, Lars Fosvold.
The preliminary volume of the Gygrid discovery is in the range of 19-31 million barrels of oil equivalents. The license also contains the gas discovery Galtvort, drilled last year and the Tau discovery. There are many identified prospects and leads and the total volume potential for the licence is estimated by Noreco to be up to 25 million barrels oil equivalents net to Noreco.
The Gygrid well is part of Noreco's selective exploration program which focuses on exploration wells that have a high value creation potential for Noreco. Noreco has made two discoveries in 2009; Gita in Denmark and Gygrid, announced today. Results from the ongoing Grosbeak exploration well operated by Wintershall are expected in July.
Facts about the Gygrid exploration well, 6407/8-5 S&A
These are the third and the fourth explorations wells in production license 348.
6407/8-5 S was drilled to a vertical depth of 2347 metres below the sea surface and was concluded in the Åre formation in the Lower Jurassic. Well 6407/8-5 A  was drilled to a vertical depth of 2123 metres in the Tilje formation in the Lower Jurassic. The wells will be permanently plugged and abandoned.
The wells were drilled in 247 metres of water using the West Alpha drilling facility, which will now be moved to production licence 407 in the North Sea to drill appraisal well 17/12-4, where BG Norge AS is the operator
For further information, please contact
Scott Kerr, CEO (+47 992 83 890)
Einar Gjelsvik, VP Investor Relations (+47 992 83 856)